Identifying Price GAPS and Aggressive moves!

Hello forexfactory!

Price moves in waves, following volume, paving the way for strong patterns, identified in key areas of Supply and Demand. These patters can also be easily distorted when we have large Price GAPS and Aggressive price moves. When these price moves break key areas we distort the story of what indicators tell us (hence why the fail), price patterns say, or SD zones yell.

When its central banks buying large sums of foreign currency, price making huge thrusts through key areas or even just the large pushes during NEWS events.

The idea being to find away to identify these from a technical aspect. Yes they can be visually seen, but the key is for finding the technical aspect on how to use some form of coding to us identify these areas.

I hope we can discuss in this thread ways from a theory stand point and technical stand point on how to identify these price moves.

I'm not a programmer but I work with some who I would like to be able to share this idea with and turn it into a indicator.

Side not: Many EA's perform very well until these points occur, my thoughts are finding away for these to be identified can be a large turning point.

Example 1: I added Standard Deviation and ATR just for something to consider.

Example 2:

Example 3+4: With Influence from Sir Draghi and Yellen

Example 5:

Personally I have learned a number of ways on how to approach these gaps and I will list them and this might help with what it is I'm trying to attain.

In this example price has made a strong push downward, in comparison to the previous slow trend upward. But when will this market push end and return to some form of equilibrium. Yes equilibrium can be debated, but when price moves outside of a range with very strong aggression it is clearly showing the large force has won (for the time being).

I have drawn the GAP, I have doubled the GAP and half the GAP. The idea being do you wait until the full GAP of price has been reached, that we then can say the market has returned to a normalized price movement, or half the GAP. In this example.

side not: These examples are not worried about Risk.